The world of cryptocurrencies faced another challenging week as prices of Bitcoin shed about 10% throughout the past couple of days. This however didn’t stop the red hot market for venture investments in Bitcoin, as Bitnet Technologies raised $14.5 million, while Coinsetter’s CEO expanded on his views about the recent drop in Bitcoin prices.

These and many other developments are available for our readers in the lines that follow, revealing a recap of the most interesting stories throughout the week as seen by the editors in charge of Forex Magnates’ sister website, Digital Currency Magnates.

Answering why prices of bitcoins have been declining recently, having traded near $650 at the beginning July only to drop to just above $300 earlier this month, Coinsetter CEO, Jaron Lukasiewicz, recently provided his explanation on Quora as well as posting them on the company’s blog. According to Lukasiewicz, bitcoin prices are suffering from fundamental principles in the sector which are causing more sellers than buyers to appear in the market.

Record VC Funds Pour into Bitcoin Companies as Bitnet Technologies Raises $14.5 Million

In what continues to be a hot market for venture investing, bitcoin payment service provider, Bitnet Technologies, announced that it has raised $14.5 million in Series A funding. The news continues a record month of bitcoin related investing with October 2014 deals shattering previous highs of investing.

Earlier in the month, Blockchain announced a $30 million financing round which tied BitPay as the largest single round of funding, while BitFury received another $20 million to help it develop new ASIC chips.

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BitPay has issued a document outlining its concerns about the BitLicense proposal, joining a chorus of worried Bitcoin enthusiasts and businesses that it will adversely impact Bitcoin. Two months ago, China’s three largest bitcoin exchanges penned a joint open letter doing the same.

BitPay’s letter was authored by its Chief Compliance Officer, Tim Byun, a former Visa executive brought aboard in June. BitPay expressed its appreciation to Ben Lawsky, who has spearheaded the proposal, for his efforts to foster Bitcoin innovation. However, they believe the current proposal will have the opposite effect.

SNAPCARD Looks to Turn San Francisco into Bitcoin Hub, Offers Free Hardware and Service to 500 Merchants

After securing $1.5 million in funding, SNAPCARD is making a bold move to rapidly increase merchant adoption of digital currencies.

Through its “Integrate SF” campaign, the first 500 merchants to sign up will receive free hardware to enable their acceptance of bitcoin. The “merchant pack” includes an Android tablet and SNAPCARD merchant app to function as a bitcoin point of sale (POS) terminal. In addition, the merchants will not be charged any transaction fees- forever. The company would normally charge 0.5%.

Those signing up will also benefit from a variety of physical marketing materials (bitcoin stickers, table tent, window vinyl), as well as digital marketing to digital currency users.

Cozy Games Becomes First Regulated iGaming Firm to Accept Bitcoin after GoCoin Partnership

GoCoin has become an active participant at the EiG2014 iGaming conference in Berlin. Earlier in the week, GoCoin, a cryptocurrency payment processor who provides merchants the ability to accept payments in bitcoins, dogecoins, and litecoins, annocuned that it had partnered with Ilixium, a provider of payment processing solution to the various industries, including the iGaming sector. According to terms, using GoCoin’s technology, Ilixium would now be able to introduce cryptocurrencies as a method of payments for their iGaming customers.